This month, the Ohio Department of Development, in collaboration with the Ohio Department of Taxation, launched InvestOhio. The $100 million tax credit program helps small businesses get the funds from investors they need to grow, succeed, and create jobs.
 
“We were hearing from small businesses here in Ohio that they were having trouble getting access to capital,” explains Matt Sutherland, senior tax incentive specialist with the Ohio Department of Development. “The program creates incentive for investors to invest in small business.”
 
Through InvestOhio, investors can invest up to $10 million in eligible small businesses in exchange for a 10 percent income tax credit for investments held for two years. Eligible small businesses must have less than $50 million in assets or less than $10 million in annual sales.
 
There are 900,000 small businesses in the state. Investment in small business through this program is expected to generate $1 billion in new private investments in small businesses by 2013.

“There are a lot of small businesses waiting to take off, and we’re happy InvestOhio is the catalyst to move forward,” says Sutherland. “If every small business added even a moderate number of jobs it would be a significant impact on Ohio’s economy.”

 
Source: Matt Sutherland
Writer: Karin Connelly

NorTech was recently named a recipient of the State Science and Technology Institute’s 2011 Excellence in Technology-Based Economic Development (TBED) Awards. Now in its fifth year, the awards program identifies national models developed by states and regions to accelerate science, technology and innovation to grow their economies and create high-paying jobs.

NorTech won the Most Promising TBED Initiative award for its cluster model, which is currently being applied to advanced energy and flexible electronics industries. The model can also be applied to other industries.

"The SSTI award validates the NorTech model as a as a best practice approach to accelerate regional industry clusters,” says Rebecca Bagley, NorTech president and CEO. We look forward to continuing to apply our cluster development model to help companies grow, create jobs and attract capital to generate positive economic impact.”

NorTech is a nonprofit tech-based economic development organization serving 21 Northeast Ohio counties. As a catalyst for growing emerging technology industries, NorTech is leading efforts to develop regional innovation clusters that create jobs, attract capital and have a long-term, positive economic impact.

“The award brings external validation from national technology-based economic development practitioners for NorTech’s work and impact,” says Bagley. “From July 2010 to July 2011, advanced energy and flexible electronics cluster companies supported by NorTech have attracted $20.5 million in capital, created 171 jobs and generated $10.8 million in payroll.”


Source: Rebecca Bagley
Writer: Karin Connelly

The November CBIZ Small Business Employment Index (SBEI), a barometer for hiring trends among companies with 300 or fewer employees, increased by .35 percent in November. While the trend reflects companies surveyed across the country, “a good number of the survey respondents are from the Cleveland area,” says Phillip Noftsinger, business unit president of CBIZ Payroll Services.

While the trend is typical for the holiday season, Noftsinger is optimistic that the increase may lead to future job growth. “I think this time of year we would expect to see growth during the holiday season,” he says. “But we’re hoping a strong holiday season will support a longer term trend in these numbers. It’s a little early to tell though.”
 
A good holiday shopping season has the potential to continue into the new year. “Strong consumer spending sustains growth,” says Noftsinger. “We hope to see a continued strong holiday season, which leads to income growth and labor growth and an upward spiral in employment.”

 
Source: Phillip Noftsinger
Writer: Karin Connelly

Anne Kelly used to travel four days a week for her job. Then about a year and a half ago she was traveling less and she found she had a lot more free time on her hands. She wanted to take that free time and do something that made a difference. “I felt I had the energy to do more for people,” she recalls. “A friend convinced me to join the Rotary Club.”
 
Then Kelly heard about the Lost Boys of Sudan, the Friends of the Sudanese Lost Boys of Cleveland. “These kids were basically told by their parents to flee on foot with lions and tigers and soldiers,” she explains. “They told the story of how they first got to Cleveland in winter and thought the snow was flour and that we were so wealthy that we let the flour flow into the streets. The first time they got in an elevator they thought it was the room where they would be staying.”
 
Those stories prompted Kelly to form Drinks for Do-Gooders, a monthly happy hour where for the cost of a drink, people could get together and help the Lost Boys. The first event raised $350. “The Rotary Club really got behind this concept,” says Kelly. “Then the Cleveland Professional 20/30 Club partnered on this, and it allowed me to see that it could grow bigger.”
 
Today, Drinks for Do-Gooders meets on a quarterly basis. The cover charge is a little higher -- $20 -- but includes drink tickets, appetizers and a raffle. The group has raised between $1,400 and $1,800 for worthwhile causes.
 
The next Drinks for Do-Gooders meeting is in January and will benefit Ohio City Writers. Best Buy has donated a 60-inch flat screen television to raffle off, and the Cleveland Play House has donated two tickets to an upcoming show. “Come out, have a drink and do some good,” says Kelly. “You can do more in a happy hour than just feeling like you got together for happy hour.”

 
Source: Anne Kelly
Writer: Karin Connelly

Judy Wright knows that there is strength in numbers. That’s the idea behind the Cleveland Colectivo, which has been getting together and raising money for good causes around town for the past seven years.
 
“We are a giving circle, which means we are a group of people who pool our money and then give it out collectively,” explains Wright. The Colectivo was founded by Wright and a group of friends working in the non-profit sector who wanted to make a difference but didn’t have the funds independently to make an impact.
 
But collectively, the group of about 30 people have made quite a difference. The group has raise $80,000 since its start, and has given the money raised to a wide spectrum of causes and organizations. “We made a specific decision not to have any theme,” says Wright. “We have the freedom to give to individuals, non-profits or small businesses.”
 
The Colectivo’s grants range from $500 to $5,000 and have gone to support anything from parent support groups to arts organizations to community development projects. “Our goal is to find champions to support,” says Wright. “You don’t have to be a millionaire to be a philanthropist. Our goal is to make philanthropy accessible and active.”
 
Source: Judy Wright
Writer: Karin Connelly

The Burton D. Morgan Foundation in Hudson and the Blackstone Charitable Foundation have committed $3.2 million to train area young entrepreneurs through Blackstone LaunchPad, a venture coach program developed at the University of Miami, Florida in 2008.
 
Students, faculty and alumni at Baldwin-Wallace College, CWRU, Kent State and Lorain County Community College will have the chance to participate in the program, which takes applicants from idea to full-fledged business.
 
“A lot of schools around Northeast Ohio have strong entrepreneurship programs, but there’s an experiential gap for the students,” says Deborah D. Hoover, president and CEO of the Burton D. Morgan Foundation. “There are a lot of really good ideas simmering on campuses but the commercialization is lacking. This program will help with that.”
 
The Blackstone LaunchPad was first started in Detroit in 2010 at two colleges. The program provides participants with advice, mentors, resources, counsel and networks necessary to get their ideas started. Since 2008 Blackstone LaunchPad has generated 65 start-up ventures, 120 new jobs, and drawn nearly 2,000 student participants.
 
“One of the reasons they selected Cleveland was they are looking at regions being hit hard by economic downturns,” says Hoover of Blackstone’s decision. Participants will be selected in early 2012 and be in full swing by fall.
 

Source: Deborah D. Hoover
Writer: Karin Connelly
 
 

The Cleveland BVU: The Center for Nonprofit Excellence has partnered with Quicken Loans Arena in a program to encourage volunteerism. Participants who volunteer four or more hours through the BVU’s inaugural Community MVPs program can get buy-one-get-one tickets to an upcoming Cavs, Lake Erie Monsters, Canton Chargers or a Disney Princess show at the Q.
 
Additionally, those who log the most volunteer hours in any one of five specified time periods will win two floor seats to an upcoming Cavs game. “This is a great program that attracts all types of volunteers of all ages,” says Roseanne M. Deucher, director of the volunteer center at the BVU. “We’re really excited about participating in this program with the Q.
 
Such partnerships have been successful in recruiting volunteers in the past. The 2011 Cleveland Indians Challenge resulted in 40,000 volunteer hours, which translated into $850,000 worth of hours worked for good causes around Northeast Ohio.
 
The program runs until April 2012. Participants can find volunteer opportunities at any of the BVU’s registered nonprofit organizations at the Volunteer Center. “There are always new and fresh volunteer opportunities posted,” says Deucher. “It really allows people to find a volunteer opportunity quickly and easily.”

 
Source: Roseanne M. Deucher
Writer: Karin Connelly

"My primary objective is to bring 100,000 newcomers to Northeast Ohio," says Larry Miller, newly appointed president of Global Cleveland. Miller brings more than 25 years of talent attraction and international human resources experience to the organization tasked with promoting the quality of life in and around Cleveland.

Global Cleveland, a regional economic development organization, has launched a pilot program: English and Pathways for Healthcare Professionals. The six-month program, launched in October, is designed to help immigrants with their English and find jobs that match the skills they developed in their native countries.
 
“The objective is to find immigrants jobs in healthcare who were healthcare professionals in their home countries but haven’t been able to find work here,” explains Global Cleveland president Larry Miller. “By the time they get out of the program we will help them find jobs, although maybe not at the level they were initially."
 
The pilot program has 21 participants from around the globe. Among them are four doctors, one RN, one dentist, one dietician and one physical therapist. None of them have jobs in their respective fields. During the six months the participants will study English medical terminology, learn about the U.S. healthcare system, get coaching on finding a job, and have networking opportunities.
 
“The stories I hear from the program so far is that it’s a frustrating situation for some of them and they’re excited about this program,” says Miller. Participants will also get help in transferring their credentials from their home countries to the U.S.
 
The program is run in partnership with The Ohio Board of Regents, Cleveland State University, Polaris Career Center, the World Education Services and NE ABLE.

“It’s a really nice partnership,” says Miller. “Everything’s coming together really nicely.”

 
Source: Larry Miller
Writer: Karin Connelly

Kendall Embrescia’s greeting cards get to the point of the sentiment -- but usually not in the traditional way. As chief creative officer and “head skootcher” at Squirt & Skootch, Embrescia produces cards that are edgy, funny, off-the-wall and well received.
 
The idea for Squirt & Skootch was originally conceived in 2009 by Embrescia and a friend who wanted to start a business that united their love of writing, creativity and travel. The peculiar name is based on their childhood nicknames.

“One of the universal things I found when I traveled was mail,” recalls Embrescia. “No matter where I was I would send a postcard.”
 
So, in fall 2009, "Squirt" and "Skootch" gave their cards a trial run at the Tremont Arts Festival. Boasting sayings like “I have a heart on for you” and other spicy sentiments, the cards were very well received.
 
Then Squirt moved on and Embrescia’s friend Sandy Hridel joined the team. The two hit some stationary shows and developed a full line of cards, covering categories that ranged from Love and Sex to Holiday and Encouragement. Embrescia and Hridel formally formed an LLC in fall of 2010, hired Embrescia’s niece Kendra Kwasniewski to illustrate the cards, and got a crash course in running a business.
 
“We started identifying places that would sell our cards, cold calling people and walking into stores to sell our cards,” says Embrescia. “I’m a really creative person and learning the business stuff was really intense.” But the hard work paid off. Today, Squirt & Skootch can be found in stores around Northeast Ohio, as well as in Pittsburgh, Chicago, New York, Los Angeles and Colorado.
 
The company plans on hiring a web developer and some salespeople to go after mid-sized retailers. “Growth is certainly key,” says Embrescia. “We’ve been able to be creative and build an infrastructure, but now the emphasis is on growth.”

 
Source: Kendall Embrescia
Writer: Karin Connelly

Impact Armor Technologies, a manufacturer of ceramic components used in military and law enforcement armor, listened to their customers and developed a bullet-proof clipboard. The clipboard provides protection from multiple gunshots and point-blank range.
 
“Basically, our company was in the business of producing custom armor,” says Matt Raplenovich, Impact Armor’s director of operations. “We try to be very involved with our end-users. Instead of designing a product for them, it was designed by them and it’s worked out well for us.”
 
The clipboard has generated interest from law enforcement agencies around the world. “The response has been very good,” says Rob Slattery, a former police officer and Impact Armor’s law enforcement sales manager. “There are other clipboards on the market, but ours is lighter and provides more protection.”
 
With police fatalities from firearms up 22 percent this year, Impact Armor has secured the endorsement from the Greater Cleveland Peace Officers Memorial Society. Slattery says paramedics have also expressed an interest in the clipboard.
 
Impact Armor has doubled in size since its founding in 2006 -- going from six employees to 12 -- and has a commitment to keeping production local. “Our mission is to provide protection to officers,” says Raplenovich. “But in doing so, we want to create jobs locally. Growth is of course our plan, but we try to keep it local.”

 
Source: Matt Raplenovich and Rob Slattery
Writer: Karin Connelly

LaRick Calhoun has been an entrepreneur since he was 11 years old, when he started cutting hair for people in his neighborhood. His mother was a hair stylist and for $5, Calhoun would create his own styles.

“That’s where it all began,” he says. Then, years later as a real estate loan officer, Calhoun realized he could teach others the skills they need to be successful in business and created 2Excel Group.
 
“I noticed that at 100 percent commission, we really didn’t have any resources in training and development,” Calhoun recalls. “So I built 2Excel Group to provide resources to independent real estate professionals. Then I expanded it to all kinds of entrepreneurs. They really liked our meetings, and they didn’t want to miss any of our events.”
 
Officially launched in 2005, 2Excel Group is a marketing and consulting company that offers regular seminars on starting and growing a business. The company picked up speed in 2009 and now has four core people on staff, a business center in Garfield Heights, and plans to open satellite centers in East Cleveland and Warrensville Heights, as well as hire event and meeting planners. The business center is part incubator, part workspace, part inspirational and motivational center.
 
Calhoun plans to focus on young entrepreneur in 2012 with the Young Entrepreneur Professional Network. “We will have out-of-the-box activities for small businesses and entrepreneurs who want to be part of something fresh,” he says. “We will be an aggressive, different network. We have to prepare tomorrow’s leaders; we have to talk to them at a young age to motivate them.”

 
Source: LaRick Calhoun
Writer: Karin Connelly

As part of the JobsOhio initiative, Team NEO has asked regional organizations to submit their ideas for job creation and economic development. As one of six JobsOhio regional offices, Team NEO received $4.1 million from the Third Frontier Commission to fund the office and support economic development programs.
 
“The purpose of the money is to improve the economic development system in Ohio,” says Team NEO CEO Tom Waltermire. “We have been spending quite a bit of time working with the board of trustees on how to spend the $4.1 million. We decided to make it into a proposal process, extending it to organizations that represent the 18 counties.”
 
Waltermire says they are encouraging the organizations to work together on ideas that will attract business to Northeast Ohio and create jobs. “We’re looking for proposals that will have broad regional benefits,” he says. “Ultimately, we want proposals that result in job creation, attraction, retention and expansion of business.”
 
Team NEO has received 15 letters of intent. Proposals are due by November 11 and will then be reviewed by a Team NEO task force. The board of trustees will make decisions on December 6. “We’re not just handing out money and hoping for the best,” says Waltermire of the selection process. “We’re going to have some very rigorous reporting requirements from the grantees. We’re holding people accountable and asking them to explain the results they are getting.”
 
Waltermire is optimistic that the proposed plans will have a positive impact on job creation in the area. “The result should be some fresh thinking and new ideas for ways to help the economy in Northeast Ohio,” he says.

 
Source: Tom Waltermire
Writer: Karin Connelly

It’s hard enough in today’s economy to find a good job. It’s even harder if you can’t read. Nearly half the adult population in Cuyahoga County has literacy levels that are below the state minimum requirements and 270,000 people in the county have no training beyond a high school diploma or GED.
 
The Literacy Cooperative of Greater Cleveland just released the first of three briefs, “The Economic Case for Literacy,” which points out the need for continued literacy training in the workplace. Even one year of post-secondary education can lead to better pay for the employee and increased productivity for the employer.
 
“Let’s say someone is currently employed, is a good worker and shows up every day,” says Robert Paponetti, executive director of the Literacy Cooperative. “But they aren’t advancing because of literacy issues. There is often a disconnect between education and training, where they can’t get the training they need.”
 
The Literacy Cooperative is working with employers to implement workplace literacy programs. Paponetti says healthcare is one industry where literacy is lacking, especially in the terminology of the field. “We’re looking at how we help provide workplace literacy programs so employers who might be able to contribute to their employees’ advancement can,” he says. “We have to look at the people who are in the workforce today and build the skills they need to advance.”
 
In time, Paponetti hopes such programs will lead to a better trained workforce that can succeed in the changing economic climate. “There aren’t instant solutions to adult literacy issues,” he says. “We have to start putting out resources together to make the best impact.”

 
Source: Robert Paponetti
Writer: Karin Connelly

Jared Rube has a love for both photography and technology. As a third year photography student at Rochester Institute of Technology, Rube got his feet wet in the entrepreneurial world as an intern at Shaker LaunchHouse before creating True Frame Media, which provides video content creators with the ability to standardize work-flow and produce films through online pre and post production processes.
 
Out of True Frame Media came CinaMaker, a cloud-based collaborative environment for producing films online. The company is a marriage of Rube’s two loves.

“It started as marketing and storage, and grew into editing,” recalls Rube. “Then it grew into ‘Why don’t we make it collaborative?’”
 
Running a startup business while going to school full time has not been easy. But Rube has gotten a lot of support from the RIT faculty, LaunchHouse, friends and family. And he’s enjoying every bit of the experience. “It’s a really cool learning experience,” he says, “Doing it all, learning how to run a business.”
 
CinaMaker is quickly growing. Rube has one “unofficial” business partner, one programmer and one designer. He plans on hiring subcontractors to help with the programming. He foresees soon having five to eight programmers and two designers on staff. He also has been working with local and overseas production companies and fellow LaunchHouse company Tiny Giant Studio.

“It’s really moving fast,” he says. “I’m just trying to keep up with it.”

 
Source: Jared Rube
Writer: Karin Connelly

JumpStart introduced IdeaCrossing to the entrepreneurial community in 2007 as a tool for developing and growing a new business. More than 6,000 users nationwide -- 2,000 in Ohio -- use the free online tool to find funding, talk with investors and hash out their ideas. Now IdeaCrossing has launched Workspaces, an online collaborative meeting place.
 
Workspaces gives entrepreneurs a virtual meeting place to collaborate with their advisors and stakeholders "without being bound by geography or business hours." Through Workspaces, entrepreneurs can request online feedback, share documents, and obtain referrals to others who can help advance the business.  Both IdeaCrossing and Workspaces are free to use.
 
“Workspaces is the next step in IdeaCrossing,” explains Tiffan Clark, IdeaCrossing vice president. “We found that nine out of 10 entrepreneurs who came to us said they were looking for money, but weren’t ready. This is a private discussion forum, where only those in Workspaces can see the documents and get feedback. It’s like a virtual meeting without the video component.”
 
WorkSpaces offers a private meeting space to bring all of an entrepreneur’s advisors, mentors and collaborators together in one place. “It brings all those advisors into this virtual private space to see the collaboration of those ideas,” says Clark. “We connect the community with the resources they need to grow their business, no matter what stage they may be at.”

 
Source: Tiffan Clark
Writer: Karin Connelly

NorTech is accepting nominations for its 11th annual innovation awards, which highlight breakthrough technologies and innovations in Northeast Ohio.

“The innovation awards recognize those businesses and individuals and leaders who have created jobs and attracted capital to the region,” says NorTech president and CEO Rebecca Bagley. “The bottom line is recognizing companies that have had a positive economic impact.”
 
NorTech has held the competition since 2000, and this is the fourth year they have partnered with Crain’s Cleveland Business to identify businesses that have had both a positive economic impact and a social impact. “It’s pretty competitive,” says Bagley. “Last year we had 40 nominations.”
 
Entries are judged in one of five areas: advanced energy; advanced materials; biomedical, flexible electronics; and instrumentation, control and electronics. Within those areas, judges look at creativity, feasibility, collaboration and triple bottom line Impact -- social, economic and environmental.
 
Judges are selected from the wide geographic area that NorTech represents, and are leaders in a variety of industries, universities and economic development. “We try to mix it up,” says Bagley. “We make sure the judges are representative and a strong balance of people.”
 
The deadline for nominations is 1 p.m. on November 11. Individuals and businesses can nominate themselves. The nomination packet can be found on NorTech’s website.
 
“It’s important and exciting to be able to highlight all of the things that are happening here in the region,” says Bagley. “It gives people the sense of momentum as we go through an economic shift.”

 
Source: Rebecca Bagley
Writer: Karin Connelly

Dave Fleischer loves to draw. As a self-described “lifelong animator,” the creative director and president of Tiny Giant Studio has dreams of growing into a full-service animation production studio. And he’s using his passion to attract local talent to his company by hosting a speed-drawing class at Shaker LaunchHouse.
 
The class, held on Thursday nights, is designed to help potential animators hone their skills. Actors from the CWRU theater department silently act out a skit -- holding each pose for two minutes -- while participants sketch out the poses. The sketches are then transformed into an animatic skit using animation software.
 
“The more comfortable you are about drawing fast and not really caring about any one drawing, the better you will be as an animator,” explains Fleischer. “It’s a wonderful tool for building animation skills.”
 
While local animators sharpen their skills, Fleisher scouts out local talent. “Our goal is to grow in size as an animation studio,” he says. He currently runs Tiny Giant with five of his former Cleveland Institute of Art students. “The best way to grow talented people around you is by planting a seed and nurturing it. If I spot really talented people, they can freelance with us or, if they’re young, they can intern.”
 
About 15 people attended the first speed-drawing event held in October. Fleischer plans to continue to host the event twice a month.

 
Source: Dave Fleischer
Writer: Karin Connelly

Dan Young is an avid cyclist. But he’s also quite busy running his software and technology business. One day, while stuck in the office and dreaming about how he’d rather be riding, Young came up with an idea: What if there was a way to pedal at his desk?

“I was just kind of thinking one day, ‘I can’t stand sitting here; I want to get out and ride,’” recalls Young. And with that, the seed was planted for Kickstand Furniture.
 
The Cleveland company makes specialized desks under which you can park your bicycle and pedal while you work.

“The real mission was to build a line of furniture geared toward the avid cycler,” explains Young. “I love bicycles and if I had my way I’d be riding them every day. Now I can.”
 
The custom-built desks are 45 inches high and can be raised or lowered by six inches. The large work surface features sliders to move it out of the way for easy mounting. Customers can specify if they want footers for hard floors or carpeting. And they are available in a variety of finishes. “It’s a lot more complicated than just pulling up a bike to the desk,” says Young.
 
Young is now in production for the holiday season and plans to introduce additional furniture, like stools, in the future.

“All suppliers and fabricators are local,” he says. “I’m really happy about this. Now I can sit, pedaling at my desk while the snow is falling.”

 
Source: Dan Young
Writer: Karin Connelly

Anyone who has ever been in college knows the benefit of using a classmate’s notes to catch up on what’s going on in class or to study for a test. Dave Petruziello and Mike Matousek have created a way to share those notes -- and make some money at the same time.
 
FlashNotes came out of a class project Matousek was working on for business class while at Kent State University in 2009. The company is a virtual marketplace where students can buy and sell study materials -- notes, book notes, study guides, custom flash cards, and book summaries.
 
The two launched FlashNotes last spring at four universities in Ohio and Michigan and the site instantly went vital. “We’re like Amazon or eBay for class notes and study guides,” says CEO Petruziello. “We’ve had a lot of success with it.”
 
FlashNotes is now at 44 colleges and universities across the country. “We never did any promotion,” says Petruziello of the company’s success. “People just grabbed it and have taken it to new locations.”
 
Users sell their notes at $1.99 and higher, depending on content, difficulty of the class and length. FlashNotes takes a 20 percent commission on the sale, the seller keeps the rest. “We’ve had students make over $500 a week selling their notes,” says Petruziello. “We provide a service for students.”
 
Petruziello stresses the social networking aspect of the concept. “It’s not about whether you missed class, it’s just additional study materials,” he says, noting that they have added a feature where users can search for notes by ISBN number for specific textbooks being used by different classes.
 
FlashNotes is growing quickly. Petruziello and Matousek plan on opening additional offices in Boston and they are in the process of hiring a CTO. Additionally, they plan on bringing their web development team in-house and hiring student reps on campuses.

 
Source: Dave Petruziello
Writer: Karin Connelly